SEBI wants 2 top execs at every stock exchange—here's why
SEBI just rolled out a new rule: all major market institutions (like stock exchanges and depositories) must have two executive directors—one to handle day-to-day operations, the other to keep an eye on regulatory compliance.
The idea is to make these financial hubs more transparent and accountable.
Why does this matter?
For anyone interested in finance or investing, this is a big deal. By splitting responsibilities between two directors, SEBI hopes to prevent power from being concentrated in one person's hands.
It's about making sure no one cuts corners with rules—or overlooks tech and security risks.
How will it work?
Starting December 20, MIIs will need to advertise these director jobs publicly and send their top picks (with salary details) to SEBI for approval.
Key roles like CTOs and compliance officers will now report directly to these new directors.
The first director should be hired within six months; the second within nine months.
What changes for the people running things?
The new execs have to give regular updates straight to their committees without involving the managing director—and flag any serious issues directly with SEBI.
There are also tight timelines for appointing risk officers, so everyone's expected to move fast on this.